The global Europay, Mastercard, and Visa (EMV) point of sale (POS) terminals market is now expected to grow at a CAGR of 9.9% between now and 2021.

EMV standards were developed to deliver safer payment transactions between chip-based payment cards and terminals. EMV POS terminals generate a dynamic code for every transaction, making it almost impossible for fraudsters to decode and retrieve customer information. When a POS terminal performs all the above functions and is EMV compatible, it is referred to as an EMV POS terminal.

A new report: “Global EMV POS Terminals Market 2017-2021” by TechNavio says one of the major drivers for this market is increasing penetration of contactless payments. The NFC POS systems have been continuously evolving with functionalities such as an increase in transaction limit, the emergence of NFC-enabled mobile EMV POS terminals, and, most importantly, a shift in consumer preferences for fast and reliable payment options.

The market for NFC EMV POS terminals will grow significantly with an increase in the use of contactless cards and mobile payments.

Meanwhile, the global EMV cards market is expected to grow at a CAGR of 16.9% between 2016 and 2020.

Another report by TechNavio, “Global EMV Cards Market 2016-2020,” published last year, notes a dynamic code is generated for every transaction when an EMV card is inserted into an EMV point-of-sale (POS) terminal. This is the prime benefit of EMV cards as it becomes almost impossible for fraudsters to decode customer information.